Here’s how its WedLock product works. The casualty insurance is designed to provide financial assistance in the form of cash to cover the costs of a divorce, such as legal proceedings or setting up a new apartment or house. It is sold in “units of protection.” Each unit costs $15.99 per month and provides $1,250 in coverage. So, if you bought 10 units, your initial coverage would be $12,500 and you’d be paying $15.99 per month for each of those units. In addition, every year, the company adds $250 in coverage for each unit.

Then, if you get divorced and your policy has matured (see below for the maturation rules), you would send WedLock proof of your divorce. In return, you’d receive a lump sum of cash equivalent to the amount of coverage you had purchased."

there is no time period in which this policy seems to have a positive rate of return if we use 50% incidence. and i have a sneaking feeling that adverse selection will drive the worst risks to them and the safest marriages away.

You'd be surprised to see the actuarial studies. We've been vetted by the best in the industry including a Chief Actuary from a State DOI. The short answer is that the math works. And for those trying to figure out what the economics of the schedule of benefits on a policy, I suggest you visit the website (http://www.wedlockdivorceinsurance.com)and model a policy for yourself. It's free and it'll certainly answer your questions. There's even a button that will show you exactly what your benefits would be at any point in time in the life of the policy. And let me point out that if both spouses had an identical policy there would be no argument about who gets paid and how much. These are individual policies that pay off only AFTER the divorce is finalized and legal precedent set in Michigan will defend against it being considered marital assets even if only once spouse benefits AFTER the divorce decree.